The Daily Decision - FOMO Has Taken Over - For Good Reason?


The State of the Markets:

As we enter the final week of what is turning out to be the best January since 1989, the macro drivers of the market remain the same. Cutting to the chase, investors continue to look forward to better days ahead on both the economic and earnings fronts.

In market terms, this is called discounting. And after the President's speech in Davos on Friday, the market appears to be doing some additional discounting to the upside. The tone of the speech was much more conciliatory than feared on the trade front and as such, traders breathed a sigh of relief via their buy orders on Friday. The end result was a surprisingly good day in the market and yet another all-time high for the big-cap indices.

The key point to the current joyride to the upside is that the economy and Corporate America are expected to continue to surprise. Although the tax bill is only weeks old, we are already seeing big announcements from companies large and small. This goes well beyond the $1,000 bonuses and minimum-wage increases for the rank-and-file employees. It's as if a race is on for CEO's to announce big investments and new projects as fast as they can. And the race is likely to continue for some time.

From a macro perspective, this means that America is indeed open for business. And business is looking good. Remember, when companies like Apple (NASDAQ: AAPL) bring home hundreds of billions of dollars, invest in new plants and projects, money pulses through the U.S. economy. New jobs and expansion plans begets more jobs. It's what is being called a virtuous cycle for the economy.

While the stock market's blazing rally is clearly stretched, and the current pace is unlikely to continue for too much ...

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The Daily Decision for 1.22.18 - No Time To Be a Hero


The State of the Markets:

To review, my first report each week is intended to take a big-picture, macro view of the overall market environment. The idea is to start the week with what we hope will be a solid ...

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The Daily Decision for 1.18.18 - The New Market Narrative: Dilly Dilly!


The State of the Markets:

Bearish reversal? What bearish reversal? It turns out that Wednesday's market narrative made a mockery of Tuesday's hand wringing relating to a potential government shut down and the end of QE as we know it. ...

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The Daily Decision for 1.17.18 - Did Something Just Crawl Out Of The Woodwork?


The State of the Markets:

And we're back... After months of little to no volatility, the bears got back into the game yesterday, putting on a pretty decent show on the first day of the week's trade.

Stocks started the ...

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The Daily Decision for 1.16.18 - Bulls May Need To Slow Their Roll


The State of the Markets:

The bulls encountered a bit of a challenge early last week, but by Friday appeared to be none the worse for wear as the rip-snorting bull run of 2018 continued unabated.

However, at least on ...

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The Daily Decision for 1.11.18 - Bond Panic May Be Fake News


The State of the Markets:

After moving to within a whisker of the 2.6% level (2.595% to be exact) yesterday, the yield on the U.S. Government's 10-Year Treasury pulled back in the afternoon and closed at 2.55%. The key is ...

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The Daily Decision for 1.10.18 - Are Bonds Crossing the Line in the Sand?


The State of the Markets:

When stocks enter what I like to call "melt up" mode, everything is right with the world. The economic data is strong. Earnings are fantastic. Inflation is low. Consumers are happy and shopping. Employers are ...

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The Daily Decisions for 1.8.18 - Bulls On The Run


2018 YTD Performance Update:
DD TRADING Model: +3.2%
DD LEADERS MOdel: +2.8%
S&P 500: +2.6%


The State of the Market:

With the S&P 500 up 2.6% so far in 2018, it appears that, barring an unforeseen disaster today, the market ...

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The Daily Decisions for 1.3.18


2017 Performance Update: Daily Decision LEADERS +23.91%
(vs. S&P 500 19.40%)


Today's Take...

While much of Wall Street is still enjoying the holiday season, there is a fair amount of action for market participants to digest today. First, I'd be ...

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The Daily Decisions for 1.2.18


2017 Performance Update: Daily Decision LEADERS +23.91%
(vs. S&P 500 19.40%)


Today's Model Review:

LEADERS Model: The LEADERS currently holds positions in the Technology, Industrials, Health Care, and Financial sectors.

However, given the rotation occurring in market leadership, we are ...

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Can The Bears Find Their Long-Lost Mojo?

The "State of the Markets"

As we embark on a fresh new calendar year (aka the scorecard in our business), the question of the day is – in my mind, in my mind, anyway – will the bears will be ...

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The Daily Decision for 12.28.17 - Up 24.3% YTD


2018 Performance Update: Daily Decision LEADERS +24.3%
(vs. S&P 500 19.8%)


Today's Model Review:

LEADERS Model: The LEADERS currently holds positions in the Technology, Industrials, Health Care, and Financial sectors.

However, given the rotation occurring in market leadership, we are ...

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